A high-level delegation team from Chinese IT and outsourcing capital Chengdu is visiting Bangalore to promote investment in China and explore opportunity to work with Indian IT and outsourcing industry. The six-day visit starts today with an investment conference in the city.
“As Indian IT and outsourcing industry strengthen their presence in the South East Asia, having a presence in China becomes essential for their growth in the region. The key objective of the delegation is to present a smarter China strategy to the Indian companies and make them aware of the advantages of establishing operation in China,” said Christine Du, Vice President, Chengdu Hi-tech Investment Group and President Chengdu Tianfu Software Park.
The business delegation includes a panel of experts, Government officials and some leading businesses leaders from China who will share their experience at the conference and during their meetings with the senior management of Indian IT and Outsourcing companies.
The capital of Sichuan Province, Chengdu is the fifth most populous city in china with more than 11 million people. This hub for outsourcing, transportation and communications industries is an important economic center and the key national software hub in China. With more than USD 300 million software export in 2008, Chengdu has been one of the fastest growing cities in the service-outsourcing sector in country. The revenue from Chengdu’s software industry witnessed a 37.7% year-on-year in 2008 and reached RMB 42.7 billion, which accounts for 5.6% of the nation’s total.
Chengdu tops the chart in Oriental Outlook Weekly’s 2009 evaluation of Chinese free-market cities where essential expatriate business expectations such as cultural appeal, social harmony, access to quality resources and ease of business transaction are measured. As official statics suggests, the average annual attrition rate in Chengdu is less than 5%, average office rental space is priced at USD 5.9 (Rs. 280) per square meter and salaries are 40% lower than Shanghai. There are 42 universities and 660 professional technical schools which produce more than 100,000 graduates every year.
Tianfu Software Park, the 60 million square meters hi-tech complex adjacent to Chengdu city, houses some of the leading IT and outsourcing companies in the world. The park impressive occupants include names like Accenture, Alcatel, Alibaba, Huawei, IBM, Nokia-Siemens, NIIT, SAP, Symantec, and Wipro. Today, 134 Fortune 500 companies, including DHL. Toyota, JPMorgan and Volkswagen, have their operations in Chengdu.
Commenting on their investment in Chengdu, John W. Thomson, Chairman, Symantec Corporation, said, “So many of the world’s best and most successful high-tech companies have chosen to set up R&D centers in Chengdu, which is why it was a correct decision for Symantec to come to Chengdu.”
Another leading business leader, Deng Yanqi, CFO, DHL, said “Chengdu is the best place for us and it has the people we need. The quality and quantity of its local universities can provide us with a continuous stream of skilled staff.”
Du concluded: “Since 2008, the IT and software industry in Chengdu has gained momentum with increasing number of companies implanting their back-offices or development centers in the city, and taking advantage of the good talent pool and low operating costs. This trend was exacerbated by the financial crisis, which has pushed companies to western parts of China to further reduce costs. Wipro and NIIT have chosen to locate their operations in Chengdu and we hope to see more Indian companies having their operations too.”
Source:http://press-releases.techwhack.com/42283-chengdu
